Gross margins increased to 39.4% from 38.5% in Q4-11
due to improved packaging gross margins and reduced
production overhead

Operating income of  2.4 million in Q1-12 roughly
equal to Q4-11 despite sequential revenue decrease
demonstrates improved scalability of business model

Net income declines to  0.2 million in Q1-12 vs.  3.4
million in Q4-11 due to adverse impact on hedging
contracts from increase of Swiss franc vs. US dollar
and higher effective tax rate due to subsidiary profit
composition

Liquidity position continues to strengthen with net
cash up by  7.7 million to  70.4 million